Scottish Budget Bill passed

Further support for councils, culture sector and island ferries

An additional £223 million will be provided to local authorities to support pay awards to staff as part of the 2023-24 Scottish Budget.

Deputy First Minister John Swinney said an improving financial position enabled him to address some pressing asks. The extra money for local authorities comprises a new £100 million for non-teaching staff and the £123 million announced last week for 2023-24 to support a new pay offer for teachers which would see salaries rise by 11.5% from April.

It comes on top of the additional £570 million already included in the local government settlement and takes the total settlement to nearly £13.5 billion.

Opening the Budget Bill Stage 3 debate in the Scottish Parliament, Mr Swinney also announced a £6.6 million increase to Creative Scotland’s budget and promised to fund the revenue cost increases incurred by local authorities managing the inter-islands ferry network.

He said additional funding confirmed by the UK Government in Supplementary Estimate figures this morning had enabled him to go further in 2023-24 – but stressed that the financial position remained exceptionally challenging and would require continued prioritisation throughout the coming year.

Mr Swinney said: “I am very aware of the challenges faced as we manage our way through this cost crisis and this Budget is designed to do as much as we possibly can to assist at this most difficult moment.

“None of this is easy – this is by far the hardest Scottish Budget process that I have led – with the effects of raging inflation being felt against the impact of more than a decade of austerity and Barnett funding down 5% in real terms since 2021-22.

“I hope this additional funding will enable a swift agreement in the Scottish Joint Council pay negotiations so that relevant staff receive a pay increase as early as possible in 2023-24.  

“The Budget strengthens our social contract with every citizen of Scotland who will continue to enjoy many benefits not available throughout the UK. Delivering support for people most in need, in these difficult times, is the foundation of this Budget.

“The Budget that has been set out to Parliament enables us to invest in our public services, to ensure a strong boost to local authority funding and to ensure that we help those who need it the most.”

The Deputy First Minister’s statement to Parliament.

SARAH BOYACK ON SCOTTISH GOVT’S DECISION TO REVERSE CULTURE CUTS

The Deputy First Minister, John Swinney, announced an uplift of £6.6 million for Creative Scotland in his Scottish Budget statement on Tuesday.

John Swinney acknowledged “the calls form Claire Adamson MSP, Convener of the Parliament’s Culture and Constitution Committee to continue to sustain our investment in culture and the arts.” 

In his statement, Scotland’s Deputy First Minister said: “We had asked Creative Scotland to sustain investment next year by utilising £6.6 million from their accumulative Lottery reserves in place of a further year of additional grant funding to compensate for generally lower National Lottery income.

“I am now in a position now to require that and I will provide an uplift of £6.6 million for Creative Scotland for 2023-24 to ensure their reserve funding can supplement rather than replace grant funding.” 

The decision comes following calls from trade unions, artists, cultural organisations and campaigners to reverse the cuts.

Last week, the Scottish Trades Union Congress wrote to John Swinney and Culture Secretary Angus Robertson on behalf of the Musicians’ Union, the Scottish Artists Union, BECTU, Equity, the Writers’ Guild, Scottish Society of Playwrights and the Society of Authors, warning that cutting arts funding is “the wrong choice at the wrong time.”

Commenting, Scottish Labour’s Culture spokesperson, Sarah Boyack MSP said: “I welcome Scottish Government’s U-turn and the decision to reverse the culture cuts.

“The proposals to cut Creative Scotland’s funding should have never been put forward – they simply didn’t make sense and if implemented, would have added to the huge pressure the culture sector is facing because of the cost of living crisis and rising costs.

“Culture workers have been living with uncertainty, precarious and under-paid work for years – the current crisis has only made things worse for them.

“There is so much more that the Scottish Government should be doing now to support the sector. In my own city for example the King’s Theatre needs support now. ”

David Watt, Chief Executive, Arts & Business Scotland, said: “We warmly welcome yesterday’s announcement by the Scottish Government to reverse the proposed £6.6m reduction in Creative Scotland’s funding for 2023/24.

“Arts & Business Scotland serves as the bridge between Scotland’s cultural and business sectors, fostering innovation and cross-sector collaboration and delivering major cultural, social and economic benefits both here and internationally. The success of our nation’s cultural profile relies on this and the creative and cultural sector has an essential role to play in facilitating a thriving and innovative economy.

“Scotland’s creative and cultural sector continues to reel from the aftermath of the pandemic, from rising energy costs and from increasing inflation; so opportunities to maintain ongoing financial support are very much a step in the right direction for both the sector and for the many businesses across Scotland that collaborate with them.

“Indeed we believe the coming together of the arts, culture and business communities can bring innovation and fresh thinking to the economy. Whilst we welcome this renewed confidence in the sector, we now need to look towards a sustainable, longer term future that embrace Scotland’s creative and cultural landscape as a catalyst for social and economic, as well as cultural, change.”